Term Sheet

The term sheet summarises the essential economic and legal key points of a planned transaction or financing, e.g. the valuation, the structuring of the purchase price and the timetable for due diligence or the investment amount, as well as the most important terms of an investment (e.g. liquidation preferences, anti-dilution, drag-/tag-along and governance).

It serves as the basis for negotiating the final contracts. Detailed information on the LOI and the term sheet can be found in this article.